Question.
Why is a buffer stock created by the government?
Why is a buffer stock created by the government?
Solution:
A buffer stock of food grains is created by the government so as to distribute the procured food grains in the food-deficit areas and among the poorer strata of society at a price lower than the market price. A buffer stock helps resolve the problem of shortage of food during adverse weather conditions or during periods of calamity.
A buffer stock of food grains is created by the government so as to distribute the procured food grains in the food-deficit areas and among the poorer strata of society at a price lower than the market price. A buffer stock helps resolve the problem of shortage of food during adverse weather conditions or during periods of calamity.